$850M Casino Deal Expands MGM’s Reach into NYC Region
MGM Resorts and MGM Growth Properties have agreed to acquire the Empire City casino and racetrack in Yonkers, NY for a total of $850 million, including a $625-million sale-leaseback. For MGM Resorts, which will operate the property post-closing, the deal will expand its reach into the New York City region.
“With Empire City’s approximately 40% share of gross gaming revenues in the market, we believe there are significant opportunities for MGM Resorts to further drive growth,” said Dan D’Arrigo, MGM Resorts EVP and CFO. “We believe the transaction will be value-accretive within its first year of closing.”
The deal calls for MGM Resorts to pay an additional $50 million to MGM Growth if Empire City is awarded a license for live table games before Dec. 31, 2022. For the 12 months that ended March 31, the casino reported about $230 million in net revenues, and $70 million in adjusted EBITDA.
Paul Bubny serves as Senior Content Director for Connect Commercial Real Estate, a role to which he brings 13-plus years’ experience covering the commercial real estate industry and 30-plus years in business-to-business journalism. In this capacity, he oversees daily operations while also reporting on both local/regional markets and national trends, covering individual transactions across all property types, as well as delving into broader subject matter. He produces 15-20 daily news stories per day and works with the Connect team and clients to develop longer-form content, ranging from Q&As to thought-leadership pieces.
Prior to joining Connect, Paul was Managing Editor for both Real Estate Forum and GlobeSt.com at American Lawyer Media, where he oversaw operations at both publications while also producing daily news and feature-length articles. His tenure in B2B publishing stretches back into the print era, and he has served as Editor in Chief on four national trade publications.
Since 1999, Paul has volunteered as the newsletter editor of passenger rail advocacy groups (one national, one local).